National multifamily investment company acquires The Overlook at Stonemill, seizing the opportunity to potentially develop an additional 80 units in thriving Virginia metro
LYNCHBURG, Va. (JUNE 27, 2019) – Castle Lanterra Properties (CLP), a privately held
real estate investment company based in New York, announced the acquisition of The Overlook at Stonemill, a 216-unit multifamily workforce housing community located in Lynchburg, Virginia.
Constructed in 2001, The Overlook at Stonemill is comprised of a mix of one-, two- and three-bedroom apartments, with a loyal tenant base which has consistently produced occupancy percentages in the high 90’s. The spacious apartments are well appointed with nine-foot ceilings, fully-equipped kitchens, garden tubs in all Master bedrooms, oversized walk-in closets, in-unit washer-dryers and private patios/balconies. The property offers residents a wide range of amenities, including a resort-style swimming pool, a fully appointed clubhouse with a fireplace, walking/jogging trails and a 24-hour fitness center.
CLP has plans to carry out an extensive repositioning campaign at the property, which has not undergone any upgrades or modernization programs since being built. The plan includes the renovation of apartment interiors, the curing of all deferred maintenance, as well as the enhancement and introduction of amenities.
“The Overlook at Stonemill was built nearly 20 years ago, and while the property is in good condition, we see a tremendous opportunity to capitalize on the growing demand for high quality rental housing in this submarket,” CLP CEO Elie Rieder said. “In addition to the value we expect to generate through capital improvements, our acquisition also includes several acres of land adjacent to the property already zoned and entitled for the construction of 80 units. Given the positive supply/demand dynamics of the Lynchburg rental market, coupled with the property’s close proximity to major employment centers, the ability to develop and increase the unit count at Overlook by nearly 40% is an accretive element of the transaction that we found very appealing.”
A key urban center in Virginia, Lynchburg is home to a diverse economy that is anchored by the high-tech, healthcare, higher education and nuclear power sectors, and was named as one of the “Top 50 Best Places for Business and Careers” by Forbes.
The Overlook at Stonehill is ideally located in the heart of the Lynchburg metro area, within minutes of prominent retail options at River Ridge Mall and Brookville Plaza and supermarkets including Aldi and The Fresh Market. It is also just miles from the area’s major employers including Centra Healthcare Solutions and BWX Technologies.
“In addition to Lynchburg’s strong, diverse economy, the area is home to Liberty University, the largest private non-profit university in the country, which generates over $1 billion in economic activity per year,” added Rieder. “Liberty has limited student housing, and, with the school seeking to expand its on-campus enrollment significantly in the coming years, its growing student body should increase the area’s already-robust apartment demand. Based on the property’s competitive set, there is a strong demand in Lynchburg for apartments with higher-end finishes and amenities, and we’re eager to begin the improvements campaign and elevate living standards for our residents.”
About Castle Lanterra Properties
Formed in 2009, Castle Lanterra Properties is a privately held real estate investment company focused on the acquisition and management of quality income producing multifamily properties within strategic growth markets throughout the United States. Through a rigorous value-enhancement program that includes thoughtful renovations, operational improvements and ancillary income development, CLP aims to reposition each asset with the goal of maximizing NOI, elevating its competitive position within the market, and generating attractive risk-adjusted returns for its investment partners. Castle Lanterra Properties currently own and manage over 7,000 units across 22 properties.Back To Press Releases